The Pound is having a difficult time staging a rebound following Monday's decline. Economists at ING expect the EUR/GBP to continue trading below the 0.88 level until key central banks meetings.

Standing by before 'super Thursday'

“There are no key data releases in the UK before Thursday’s Bank of England meeting. Markets are currently pricing in 46 bps (our call is for 50 bps) at this meeting and an additional 25 bps in March. We expect a broadly neutral impact on the Pound, and GBP/USD moves may be mostly dictated by the FOMC reaction.”

“EUR/GBP may hold below 0.8800 until ‘super Thursday’ (ECB and BoE meetings), although inflation figures in the eurozone mean the balance of risk is tilted to the upside for the pair.”